The Japanese government is planning to end the tax-free status of education gifts, owing to their lackluster utility. The tax exemption policy, designed to facilitate donations for educational purposes, did not gain the expected traction among citizens. The government hopes that discontinuing this policy will streamline tax rules and ensure a fair taxation environment. The specifics of when and how this change will be implemented are still to be outlined by the authorities.

Education is highly valued in Japan, and the government had introduced the non-taxation of education gifts to encourage more private contributions to the sector. However, the effective utilization of this policy has been significantly underwhelming. This change reflects broader discussions in Japan about tax reforms and efficient use of policies for societal benefit.

In many Western countries like the U.S. or EU nations, there are often tax incentives in place to promote donations to education and other charitable causes. However, unlike Japan, these policies tend to remain in place long-term as they are frequently utilized by individuals and corporations to reduce their tax burden.